A manager has compiled estimated profits for various capacity alternatives but is reluctant to assign probabilities to the states of nature. The payoff table is as follows:

		STATE OF NATURE
		#1	#2
	A	$ 20*	143
Alternative	B	127	88
	C	96	52

*Profit in $ thousands.

b.

Is there any alternative that would never be appropriate in terms of maximizing expected profit?

	Alternative A
	Alternative B
	Alternative C
	None

c.	For what range of P (2) would alternative A be the best choice if the goal is to maximize expected profit?

Choose Alternative A if P(#2) is (Click to select)less than .7less than .660greater than .660greater than .7.

d.	For what range of P (1) would alternative A be the best choice if the goal is to maximize expected profit?

Choose Alternative A if P(#1) is (Click to select)greater than .25greater than .340less than .25less than .340.